Nexterra, UBC move forward with gasification

Aug. 17,
2010, Vancouver – Nexterra Systems Corp. has signed a multi-million dollar
agreement with the University of British Columbia (UBC) to supply and install a
biomass combined heat and power (CHP) system at UBC's Vancouver campus. The
project, previously announced in February 2010, is scheduled for commissioning
in the fourth quarter of 2011. This is the first installation of its kind in
North America and follows three years of collaboration between Nexterra and
GE's Jenbacher gas engine division.

The new
CHP system will convert urban wood waste into combustible synthetic gas, called
syngas, using Nexterra's proprietary gasification and syngas conditioning
technologies. The syngas will be directly fired in a GE internal combustion
engine to produce 2 MW of electricity. Waste heat will be recovered from the
engine to produce 9,000 pounds/hour of low-pressure steam. Emissions from the
system will be well below local air emissions limits, and the system will have
a conversion efficiency of more than 65%.

The
electricity generated by the new system will be distributed throughout the
campus to meet a portion of UBC's electricity demand. The steam produced will
offset about 15% of the natural gas currently used by UBC for district heating.
UBC's greenhouse gas emissions will be lowered by 4,000 tonnes/year. Wood fuel
used to run the plant will be supplied by the city of Vancouver and other local
companies, from tree trimmings and other urban wood waste diverted from the
landfill.

"We
are delighted to finalize this agreement and move into the implementation phase
of this project," says Pierre Ouillet, UBC's vice president of finance,
resources, and operations. "Their [Nexterra’s] technology is a great fit
with our clean energy and climate action goals, and we are very grateful for
the tremendous support we have received from all project partners, including
the province of British Columbia, the federal government, city of Vancouver,
FPInnovations, BC Bioenergy Network, and Sustainable Development Technology
Canada."